Five Arrested for Allegedly Selling State Land to VinFast Factory in West Java
Subang. Prosecutors in Subang Regency on Thursday detained five suspects accused of illegally selling state-owned land to Vietnamese electric vehicle maker VinFast Automobile Indonesia.
VinFast inaugurated its first Indonesian assembly plant on Dec. 15, 2025, on roughly 170 hectares of land in Cibogo district, Subang. The opening ceremony was attended by Coordinating Minister for Economic Affairs Airlangga Hartarto, who thanked VinFast for its significant investment in Indonesia.
Subang Chief Prosecutor Noordien Kusumanegara said that during the land acquisition process, about 1.5 hectares included in the sale were later found to belong to the state and were not legally tradable, as the area functioned as a pedestrian corridor and agricultural irrigation channel.
The suspects include village government officials responsible for processing land sale documents, among them a village head identified by the initials AM.
“The suspects jointly and unlawfully allegedly sold state land to an investor, resulting in losses to state finances,” Noordien said in a statement.
An audit found the alleged scheme caused state losses of Rp 2.5 billion ($148,650), he added.
The five have been charged under Indonesia’s anti-corruption laws and will be held for 20 days as investigators continue to build the case.
Noordien said the Subang Prosecutor’s Office is committed to cracking down on property-related fraud and safeguarding legal certainty and the investment climate.
“We are determined to act firmly against any land scams that harm the state and obstruct efforts to accelerate investment in Subang,” he said.
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